Of the Following Categories of Spending ,Which Is Relatively Least

question 104

Multiple Choice

Of the following categories of spending ,which is relatively least important in terms of the magnitude of expenditures?

• A)food and beverages
• B)transportation
• C)housing
• D)apparel

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Definitions:

Gross Profit

The financial metric calculated by subtracting the cost of goods sold from net sales, representing the profit from selling goods before deducting operating expenses.

Ending Inventory

The value of goods available for sale at the end of an accounting period, calculated using a specific inventory valuation method.

FOB Destination

A shipping term indicating that the seller retains ownership and responsibility over the goods until they are delivered to the buyer's location, at which point the buyer takes over.

Ending Inventory Balance

The value of all the unsold goods that a company has in its possession at the end of an accounting period.